December 4th, 2014
Lansing, Michigan: Today the Michigan Senate voted against Senate bill 1073 (11-26), a bill allowing McLaren Health to build a new hospital in Independence Township by amending the Certificate of Need (CON) standards.
Friends of Certificate of Need, a 90 plus coalition of businesses, purchasers, health systems, and unions have opposed the bill since its conception claiming rising health care costs due to unneeded projects such as McLaren’s proposed hospital place increasing pressure on employers to reduce jobs, cut benefits and/or increase costs for workers. The coalition also raised concerns about politicians favoring one corporation over another through policy revisions.
“Lawmakers in Michigan have done the right thing by not allowing this bill to pass. We thank them for caring about health care cost containment for the state. A ninth hospital in an area with too few of patients would have caused significant financial stress to the healthcare industry,” stated Bret Jackson, president of the Economic Alliance for Michigan. “We also want to thank the Friends of Certificate of Need for all their hard work.”
“We’re pleased that there is a clear recognition in the Michigan Senate that it is critical to maintain the CON process and contain health care costs wherever possible,” says Delaney McKinley, director of human resource policy for Michigan Manufacturers Association.
McLaren has requested the Michigan Supreme Court for an appeals permission but still awaiting a decision.
# # #
The Economic Alliance for Michigan (EAM) is comprised of companies and unions working together to improve the business and jobs climate in the State of Michigan. Created in 1982, EAM was founded as a private nonprofit corporation by companies and unions in the for-profit sector. EAM focuses on cooperative, action-oriented endeavors to improve the reality and image of Michigan as a place to do business and be employed. Learn more about us at www.eamonline.org.
About Friends of Certificate of Need
Friends of Certificate of Need (FCON) consists of a broad range of business, consumer, hospital, union, and other groups from across Michigan. An effective and responsive Certificate of Need (CON) program helps to respond to critical problems regarding increasing healthcare costs which threaten the financial viability of businesses, as well as consumers, hospitals and other health care providers. www.friendsofcon.com.